Payroll

Fringe Benefit Charges

Michigan State University uses the specific identification (SI) fringe benefit model to recover the cost of fringe benefits from employing departments. This method will be applied to all MSU accounts, excluding most General Fund accounts, which will remain funded centrally (non-grad fringes only). Under this model, costs are specifically identified into four categories and will be distributed to the employee’s base salary. The categories are:

Health/dental/Rx will be charged via a fixed dollar amount if employee is eligible for health benefits. The amount charged will correlate with employee’s level of effort (full-time, ¾, or 1/2 ).